QUESTION 21 Suppose Japanese households shift their preferences away from savings towards consumption. Assuming that this action will increase the marginal propensity to consume (MPC), any future fiscal action by the Japanese government will be more effective less effective unaffected voted down QUESTION 22 Raising taxes on the wealthy portion of the income distribution will cause the DD curve to shift outward in the US market for aggregate demand. True False QUESTION 23 ***Use the DD-AA model of aggregate demand to answer questions 23-25*** Suppose the Federal Reserve implements large-scale open market sales. This causes US short-term interest rates to fall rise remain constant QUESTION 24 ***Use the DD-AA model of aggregate demand to answer questions 23-25*** This will cause the dollar to appreciate depreciate remain constant QUESTION 25 ***Use the DD-AA model of aggregate demand to answer questions 23-25*** The US AA curve will shift and US income will upward : rise upward : fall downward : rise () downward : fall